Market setting UP nicely for Q4 run......

Indices are looking very healthy for Q4 run.

Here is a table of where major indices are from all time highs :

Nasdaq     .7% away from all time high

SOX         .8% away from all time high

S&P 500  1.33% away from all time high

Dow        2.18% away from all time high

Russell    3.3% away from all time high

Here is a look @ RSI :

Nasdaq     59.10

Russell     57.58

SOX        56.67

S&P 500 51.52

Dow        47.78

IF we look @ 2 tables above, there is a very clear & strong picture emerging, that Nasdaq is the strongest in all indices. It is important to be overweight in strong technology stocks. Dow is either near or @ low in both table, showing a laggard performance.

Russell is an interesting situation, although, it is lagging in terms of how far from all time high, but it has come quickly to be the second most strong in terms of RSI, lot of opportunities there.

Biotech, although, i am not a follower for a long time, but it has been a star performer and has got my attention now.

As we enter Q4, which is strongest Q in terms of technology and market strength, we are position to make series of new all time high, seasonality matters, so pay attention to your allocation and sector weighting.

Very few times, that Q4 seasonality is so strong, than currently visible, so take advantage of this seasonal strength by showing conviction and patience.

Good luck with your own strategy and comfort level.

BLOG does NOT give buy or sell.

Saleem

Posted in: Mixed